American WiMax in joint effort

In a joint announcement today Sprint Nextel Corporation and
Clearwire Corporation released their plans to build the first U.S.
nationwide WiMax network.

The wireless network will provide broadband-speed Internet access to
two groups of customers: Sprint Nextel plans to build about 65%
of the network, with Clearwire handling the remaining 35%. Sprint
Nextel will cover the geographic areas with nearly 185 million
customers (75% of the populace in the 50 largest U.S. markets) and
Clearwire will focus on other areas that cover a geographic area of
about 115 million customers. Plans are for coverage of at least
100 million customers by the end of 2008.

The joint building and coverage of the two companies will allow each
company to build its network portion and service its new territory,
saving each the costs of undertaking such an endeavor alone, while
being able to share the benefits of creating a nationwide
network. The goal of the nationwide WiMax network will provide
customers with Internet access at broadband speeds in a “seamless”
delivery mode at up to 5 times the speed of existing third-generation
wireless networks.

The partnership has yet to be branded with a name, and still must pass
regulatory approval of the U.S. Department of Justice and the U.S.
Federal Communications Commission.